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In reality, increases in state funding in recent years are largely due to the state takeover of general education. This represented a change in how we pay for public schools, but did not provide new dollars for education. Effective for taxes payable in 2002 (school fiscal year 2003), the state took over funding of general education. This represented an annual increase in state E-12 funding of approximately $1 billion per year. However, this was not new revenue for schools. The increase in state general education funding was accompanied by the loss of all general education property tax revenue. To represent the $1 billion increase in state funding as a windfall for school districts is misleading. | ||||||||||||||||||||||
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